The progressive farmer. [volume] (Winston, N.C.) 1886-1904, 1887-03-02
Correspondence.
HARD TIMES, THE CAUSE
AND CURE.
GREENBACKs, Feb. %, 1887.

prevailing all owe our country.
[ take it that low prices Of crops
is the cause of the hard times to
farmers. We could build and sus-
tain Industrial schools and Chapel
Hill and all our colleges and schools,
and educate our children in head
and heart and hand, and uphold our
Agricultural Department.; and, not
only this, we might stand the ter
rible tariff and the Internal Revenue
and even the unjust and unequal
Pensions if we could get good prices
for u crops.
Now what is the cause of these
low prices?
Obviously, the scarcity of money
in circulation.
And what is the cause Of this
scarcity of money?
Clearly, the contraction of the
currency by the Government in
various ways:
LIST. By withdrawing from circu-
lation much Of the paper OF the
people and turning it into interest
bearing bonds.
End. By demonetizing silver in
1873 and destroying it as a unit Of
value, and, then, when it's coinage
was resumed in 1878, by limiting it
instead of allowing free coinage,
which had existed from the founda-
ton of the Government.
3rd. BY allowing the banks to
retire their notes, without substi-
tuting any currency in their place.
4th. By taxing the people heavily,
both internally and externally, and
boarding the money in the Treasury,
instead of paying it out SO that it
could 60 back into circulation.
9Th. By the 10 per cent. tax on
State Banks, which taxed them out
of existence, SO that our people can
not furnish themselves with a local
currency.
The contraction of the currency,
by these various means, has, by
giving a decided downward ten
dency to prices, enforced a still
greater contraction of money in
actual circulation, by driving capital
into banks of deposit. When prices
are falling, capital hides itself: 1t
cannot afford to seek investment or
loan for obvious reasons. Next week
the price will be a little lower, and
next month still a little lower and
next year lower still. SO it hides
itself till the bottom is reached. For
the same reason, enterprising men
are deferred from borrowing money
to invest.
So soon as this process is reversed
and prices are given a decided
upward tendency, the whole course
Of capital will necessarily be re-
versed. 1t will come Out of its
hiding places and seek investmentA
because it cannon afford to lie idle,
as it must lose by it when prices are
rising. Then, too, the enterprising,
progressive man or corporation can
afford to borrow money to invest or
build or buy.
The competition of capital will
carry prices upward. and, in this
way, the situation may be relieved
and prosperity restored. 1t has been
within the power of the General
Government all along to have effect
ed this, but it's policy has been to
beat down prices in the interest Of
capitalists and salaried officials.
How cruel our Government has been
to the people in thus crushing down
prices, by it's hostility to silver, by
its boarding our "tools of trade"
the very life-blood of all business, in
is vaults, and by driving money out
of circulation, and thus creating a
money famine when the banks and
the Treasury are full, and enforcing
the lowest general average of prices
that has obtained in this century,
and thus doubling the burden of
debt and taxation. This terrible
affection touches the pocket and
the home and the welfare of every
class of men, except two: the money
holder and the Office holder, which
comprise perhaps one-tenth of the
people of the country.
Now what is the interest Of these
two, not very numerous yet very
powerful classes, who run the Gov
ernmcnt and control it's policy?
! Obviously to make money high, to
make every dollar of the money of
b the one and every dollar of the
y salary Of the other buv two dollars